Energy Corridors Review
Energy
Despite US Sanctions on Iran, Green Light for the Southern Gas Corridor
The United States’ Federal Register published the “Iranian Transactions and Sanctions Regulations” on November 5, re-imposing US sanctions on Iran (Federalregister.gov, November 5). This expected action by Washington had raised concerns in Baku about the potential implications of renewed Iran sanctions on Azerbaijan’s Shah Deniz-II (SDII) natural gas field Continue reading
The Perspective of Trans-Caspian Gas Flow to Europe
On August 12, Azerbaijan, Kazakhstan, Russia, Iran, and Turkmenistan signed the Convention on the Caspian Sea’s Legal Status in Astana. The Convention’s provision endorsing the construction of a subsea pipeline raised optimism regarding the Trans-Caspian Gas Pipeline (TCGP) project, which has been stalled due to the Caspian’s uncertain status. Continue reading
Caspian Convention Signing and the Implications for the Trans-Caspian Gas Pipeline
The governments of Azerbaijan, Kazakhstan, Russia, Iran and Turkmenistan gathered in the Kazakhstani port city of Aktau, on August 12, and signed the Convention on the Caspian Sea’s Legal Status. Among other important points, Article 14 of the Convention recognizes the parties’ right to lay underwater pipelines Continue reading
Southern Gas Corridor Raises Significant Financing, but Still Faces Provocations
On February 6 and March 15, the European Investment Bank (EIB) allocated loan packages of €1.5 billion ($1.8 billion) and €932 million ($1.14 billion) to complete the construction of the Southern Gas Corridor’s (SGC) two main segments, which will carry Caspian-basin natural gas from Azerbaijan to Southeastern Europe—respectively, the Trans-Adriatic Pipeline (TAP) and the Trans-Anatolian Pipeline (TANAP) (Eib.org, February 6; Azertag, March 17). Continue reading
Azerbaijani leadership resolutely upholds the Southern Gas Corridor
On February 6 and March 15, the European Investment Bank (EIB) allocated the biggest package of loan of € 1.5 billion (bn) and € 932 million (mm) respectively to complete the construction of the Trans-Adriatic Pipeline (TAP) and the Trans-Anatolian Pipeline (TANAP). Both are main segments of the Southern Gas Corridor. Continue reading
EU-Azerbaijan Relations Set for Bright Future
There has been an increase in the volume of dialogue between the EU and Azerbaijan of late, notably the visits of Azerbaijan’s President Ilham Aliyev’s to Brussels in February, and before that in November of last year. After the 15th meeting of the Azerbaijan-EU Cooperation Council in Brussels on February 9, the EU’s High Representative Federica Mogherini praised negotiations with Azerbaijan as being constructive and forward-looking. Continue reading
Difficult Geopolitics of the Caspian Complicate Potential Energy Projects
The foreign ministers of the five littoral Caspian states—Azerbaijan, Russia, Kazakhstan, Turkmenistan and Iran—met in Moscow, on December 5, 2017, to try to finalize an agreement on the legal status of the Caspian Sea. After the talks, the Azerbaijani and Russian representatives, Elmar Mammadyarov and Sergei Lavrov, respectively, praised the narrowing of the five country’s positions (Azernews.az, December 5, 2017). Continue reading
The Potential Impact of New US Sanctions Law on Pipeline Projects Connecting Europe and Eurasia
Source: http://www.cbc.ca
While expressing some “concerns,” United States President Donald Trump signed the “Countering America’s Adversaries Through Sanctions Act,” on August 2 (Whitehouse.gov, August 2)—legislation that was overwhelmingly approved by the US House of Representatives late last month. Continue reading
Revitalizing the Military Dimension of the Azerbaijan-Georgia-Turkey Tripartite Partnership
Source: http://www.mod.gov.ge
On May 23, the defense ministers of Azerbaijan, Georgia and Turkey (AGT) held a trilateral meeting in Batumi, followed in June by the joint trilateral field training Caucasian Eagle 2017 of the three countries’ Special Operations Subdivisions in Georgia’s Vaziani base. Continue reading
The Southern Gas Corridor: Heading into the Home Stretch?
Security of gas supply is a priority for the European Union (EU) because it is critical to ensure that (1) supplies are not disrupted; (2) market can be competitive and (3) the EU cannot be blackmailed in foreign and security policy questions. Continue reading
Propaganda Against Trans-Adriatic Pipeline Continues Under ‘Environmental Concerns’
On April 6, Italy’s Lazio Regional Administrative Court (LRAC) suspended the environmental impact permit for the Trans-Adriatic Pipeline (TAP), which would have allowed for the relocation of olive trees that obstruct the planned path of the pipeline in the Puglia region town of Melendugno (Italianinsider.it, April 7). Continue reading
Russian Gas in the Southern Gas Corridor Could Undermine the EU’s Diversification Plans
Gazprom has officially declared its willingness to use the Trans-Adriatic Pipeline (TAP) as a route to deliver gas to Europe. TAP is an integral part of the Southern Gas Corridor (SGC) which is one of the priority energy projects for the EU to ensure the continent’s security of supply from a non-Russian source. Continue reading
Suspension of Azerbaijan’s EITI Membership: Repercussions for the Southern Gas Corridor
The International Board of Directors (BoD) of the Extractive Industries Transparency Initiative (EITI) suspended Azerbaijan’s membership in the coalition. The decision came during the BOD’s 36th meeting (on March 8–9), in Colombia. The EITI promotes the open and accountable management of oil, natural gas and mineral resources with the involvement of governments, companies and civil society organizations Continue reading
Southern Gas Corridor Seeks Financial Backing Amidst Volatile Oil Prices
During the third ministerial meeting of the Southern Gas Corridor (SGC) Advisory Council, held in Baku, on February 23, the European Commission’s vice president for the Energy Union, Maroš Šefčovič, encouraged international financial institutions to bankroll the SGC project (Trend, February 23). Continue reading
Injecting Russian Gas Into TAP: Downgrading Importance of Southern Gas Corridor
For the first time ever, Gazprom officially expressed interest in using the Trans-Adriatic Pipeline (TAP) to deliver Russian gas to Europe (Trend, January 24). During the European Gas Conference in Vienna, on January 24, Gazprom deputy CEO Alexander Medvedev said that Russia’s upstream capacity is sufficient Continue reading
Perspective for Turkish Stream Project: Possible Scenarios and Challenges
Credit: http://www.euractiv.com
Following the cancellation of South Stream, Russia announced its plans to reroute the pipeline to Turkey, instead of Bulgaria. The new pipeline was dubbed “Turkish Stream”, with same capacity of South Stream, but less vulnerable to EU competition law. “Turkish Stream” has also experienced delays due to the crisis in Russia-Turkey relations. However, following the recent normalization of bilateral relations, the project regained its momentum. Continue reading
TAP’s Fate after the Italian Referendum
On December 4, a referendum in Italy rejected the sweeping constitutional reforms proposed by the government, ultimately resulting in the resignation of Matteo Renzi from the prime minister’s post. One of the main proposed constitutional changes was the division of competences between the state and the regions on defining which governing body will retain the legislative power on “land-use planning” and “transport and distribution of energy.” Continue reading
Azerbaijan’s SOCAR Interested in Buying a Stake in Georgia’s Oil & Gas Corporation
The finance minister of Georgia, Dimitri Kumsishvili, recently announced that the Georgian government is considering selling a 25 percent stake in the state-owned Georgian Oil & Gas Corporation (GOGC) on the international stock exchange in 2017 (Cbw.ge, November 30). Meanwhile, Azerbaijan’s State Oil Company (SOCAR) disclosed its interest in obtaining a share in Georgia’s GOGC, if a tender is officially announced (Trend, November 28). Continue reading
Armenia seeks to boost its role in the Iran-Georgia gas talks
The Iran-Armenia-Georgia gas talks have recently gained momentum. Iranian and Georgian companies have signed gas purchase contracts, to supply natural gas to Georgia through Armenia. While the perspective of enhanced Iran-Armenia-Georgia gas cooperation is limited from political and technical viewpoints, Armenia is actively seeking to carve out a new role for itself in order to mitigate the repercussions of its long-running isolation Continue reading
Ex-Gazprom man takes over the legacy of Armenia’s problems
President of Armenia Serzh Sargsyan appointed Karen Karapetyan a new Prime Minister of Armenia on September 13, following the resignation of his predecessor Hovik Abrahamian due to his inability to tackle the country’s economic problems. Continue reading
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